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Guerbet restructuring affects profit
French contrast agent developer Guerbet in March released financial results for 1998, which the company characterized as a rebuilding year. Guerbet enjoyed slightly higher revenues for the period, posting sales of FFr 1.15 billion ($187.5 million), up 3%
French contrast agent developer Guerbet in March released financial results for 1998, which the company characterized as a rebuilding year. Guerbet enjoyed slightly higher revenues for the period, posting sales of FFr 1.15 billion ($187.5 million), up 3% compared with FFr 1.12 billion ($182.3 million) in 1997. But the companys bottom line swung into the red, with Guerbet recording a net loss of $10.8 million, compared with a net profit of $10.7 million the prior year.
Guerbet embarked on a stringent restructuring program in 1998 to counter increased competition and price pressures in its primary markets, which are mainly x-ray contrast media. The restructuring included a 10% workforce cut. Guerbet said that it expects to return to profitability in 1999.
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